The Board of Governors’ governance dispute with the University of Florida has stalled more than just the confirmation of the university’s next president. It has also halted financing for a major student housing project, and the delay could cost the university tens of millions of dollars.
The project —a multi-phase housing plan — aims to increase on-campus housing by over 2,200 beds by 2029. It is the largest housing development project in the university’s history, trustee David Brandon said during a June 22 meeting.
Earlier this year, the BOG approved a $245 million loan for Phase 1 of the project. It includes a new undergraduate dorm totaling 1,101 beds. The project will replace Trusler, Simpson and Graham Halls — decades-old buildings that students had long complained were unsanitary — which were demolished in summer 2025, eliminating 622 beds.
The demolition of the old dorms and construction of the new ones will add 479 beds to campus, according to university documents. The first of two new dorms is expected to open by fall 2028 and cost about $214.7 million.
The dorms will primarily serve freshmen, and the Phase 1 dorm will house the university’s disability resources center, which will be funded separately. The rooms will be primarily two-bed, one-bath single- and double-occupancy semi-suites. The dorms will also include community spaces and a “grab-and-go” dining area.
The project is intended to help UF address high demand for on-campus housing.
According to university data, UF saw an 11% increase in its full-time first-year enrollment between fall 2023 and fall 2024. The 2024 opening of Honors Village added 1,400 beds, but UF’s housing assignment policy prioritizes returning students, limiting access for freshmen. In fall 2025, 7,449 first-year students enrolled full time and 5,238, or 70%, lived on campus. Spring 2025 saw a historic waiting list of about 1,283 beds.
The financial consequences of the delay are significant. Brandon said at the meeting that the university may not meet its proposed completion date because of the delay. A one-year delay, he said, would increase construction costs by 7% to 8%, or roughly $20 million to $30 million. Breaking the project into separate phases would forfeit about $7.5 million in savings from concurrent construction, and delaying the first 1,101 beds would cost an additional $14 million in lost housing revenue.
If the university cannot secure the second round of financing under the current development agreement, it would also face roughly $13 million in termination costs.
Brandon urged the BOG to reconsider its actions on the housing item scheduled for its upcoming meeting and asked UF’s CFO and vice president of construction to review the development agreement.
“This delay will hurt students. Affordability is a real problem for Florida families, especially for families trying to send their children to college,” Brandon said. “The new student housing project will assist students and their families in affording housing at the University of Florida. Delaying construction will delay financial relief for these families and hurt the students we serve.”
Dr. Stuart Bell was to appointed interim president during an emergency BOT meeting on June 22 after State University System Board of Governors Chair Alan Levine indefinitely postponed his confirmation vote over concerns that UF BOT chair Mori Hosseini holds too much sway over board decision-making.
The vote was scheduled for the BOG’s June 24-25 meeting.
Levine signaled soon after the BOT vote he would consider a special meeting “as soon as legally possible” to consider Bell as president, but conditioned it on whether “the governance issues were resolved.” That includes an outside expert first reviewing “governance documents of all universities in the System, all delegated authorities and BOG policies.”
“Our mutual goal should be to be an example of best practice in university governance,” Levine said.
This article originally appeared on The Gainesville Sun: Trustee says UF-BOG dispute could cost millions if housing project delayed
Reporting by Chelsea Long, Gainesville Sun / The Gainesville Sun
USA TODAY Network via Reuters Connect
By Chelsea Long, Gainesville Sun | USA TODAY Network
